The author is using a simile to express how her memory has become blurry.
Yes. He saw them has a subject (he), a verb (saw), and an object (them), so it is totally a sentence.
Actually, you'd think it would be I, II, AND III, but from the choices you have, I'd have to go with D, I and II.
Comment if the answer is right or wrong so other people that need this will be 100% sure.
Answer:
I think it’s (d) white clown not sure
Explanation: hope this helps!